New York, Dec. 21, 2022 (GLOBE NEWSWIRE) -- Reportlinker.com announces the release of the report "Global Luxury Watch Market Size, Share & Industry Trends Analysis Report By Product, By Distribution Channel, By Regional Outlook and Forecast, 2022 - 2028" - https://www.reportlinker.com/p06374149/?utm_source=GNW
The product’s pricing strategy, the notion that it is a high-end item, and the material it is made of are some of the motivating elements that aid in increasing sales.
As a high-end product, a luxury watch has an excellent pricing strategy that concentrates on pricing it far higher than some other varieties of watches to draw in the wealthier segments of the population. A luxury watch is also more than just a regular timepiece; it is a prestigious timepiece and is regarded as being of premium quality that is worn by extremely successful and well-respected individuals.
Additionally, it makes use of extremely rare valuable metals that are not typically found in common or budget watches. Additionally, celebrities, royalty, and well-off individuals are increasingly choosing luxury watches, elevating the value of the item in consumers’ eyes and acting as one of the key driving forces influencing its wide expansion. The demand for luxury watches nowadays is also increasing because of the development of luxury smartwatches with features like the capability to track health status and connect to the internet.
Due to the luxury watch’s widespread perception as a display of riches and a mark of great status, it increases consumer interest in the product and encourages more sales. In addition, the demand is being propelled forward by the rising popularity of luxury timepieces for women. This is a result of the rise in the proportion of women with high incomes and the rising level of living.
COVID – 19 Impact Analysis
During the Covid-19 outbreak, the demand for expensive timepieces skyrocketed. Luxury watch sales, both new and used, have increased dramatically over the last year, and this trend is expected to continue. All prices have increased as a result of the escalating demand. The average price per lot has increased by more than a third in Geneva and more than half in Hong Kong, according to an evaluation of the Phillips watch auction statistics. Therefore, the pandemic had a mixed impact on the luxury watch market as the secondhand market expanded while the supply chain obstructions hindered the growth of the market.
Market Growth Factors
Increasing demand for luxury watches among the younger populace
The watch industry is flourishing due to men’s preference for luxury items, particularly watches. Some of the causes that contribute to the rise in demand for luxury watches include the increase in brand recognition, the impact of Westernization, and the natural demand for exclusivity. Luxury watches are also being made to incorporate smart features. The preloaded features on these watches include daily activity tracking, smart notifications, built-in music storage, and built-in storage for payments. They also have sensors for the pulse oximeter and heart rate at the wrist.
Growing trend of watch collection as a hobby
For some people, collecting watches is a passion that offers both chances and difficulties. Like clocks, watches are available in a variety of sizes and forms. The different make, brand, time, and finish of watches attract consumers to possess more than one, which ultimately has turned into a hobby for many. Consumers want to hold a watch that has a strong emphasis at least once like acquiring a pocket watch belonging to the era of Abraham Lincoln to a watch that went into space. For most collectors, collecting watches is a timeless and rewarding hobby that can last a lifetime.
Market Restraining Factors
High prices of luxury watches and the available possible counterfeits
Similar to any other luxury object, counterfeit watches can and do exist and is a significant industrial issue that costs businesses billions annually. Identifying a fake watch is dependent on design inconsistencies. A misspelled name or inappropriate branding may indicate a fake product. It is necessary to ensure that all components of the watch are crafted from superior materials, such as gold and diamonds. Or else, the components may be made of inexpensive materials such as plastic. This makes them appear low-grade and contradictory with the customary quality requirements for premium timepieces.
Product Outlook
Based on product, the luxury watch market is categorized into electronic and mechanical. The mechanical segment procured a significant revenue share in the luxury watch market in 2021. This kind of luxury watch is preferred by a sizable business-class population since it may be worn as a fashion statement. The longevity of mechanical luxury watches is increased by using PVD and titanium ceramic coatings. A mainspring, which further serves as a power source for mechanical wristwatches, is wound mechanically or powered by a rotor that rotates in response to wrist movements.
Distribution Channel Outlook
On the basis of distribution channel, the luxury watch market is divided into offline and online. The offline segment witnessed the largest revenue share in the luxury watch market in 2021. The increased consumer desire for buying high-end products through retail outlets is the main element boosting the expansion of this market. Additionally, it is now simple for customers to comprehend the precise dimensions and weight of a product while purchasing it through offline channels like supermarkets, convenience stores, and company-owned retail outlets.
Regional Outlook
Based on region, the luxury watch market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Asia Pacific segment acquired the maximum revenue share in the luxury watch market in 2021. The factors driving the market expansion in Asia Pacific were shifting consumer behaviour and rising disposable income. Because they are aware of the market’s potential, international luxury companies are expanding into nations like China, Japan, and India. The presence of important actors, a high per capita income, and the rising prestige of the upper middle class in the region has increased the demand for luxury watches.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Apple, Inc., Fossil Group, Inc., LVMH SE, Ralph Lauren Corporation, Rolex SA, Citizen Watch Co., Ltd., Seiko Watch Corporation, Compagnie Financiere Richemont SA, Movado Group, Inc. and The Swatch Group Ltd.
Strategies Deployed in Luxury Watch Market
Sep-2022: Apple launched Apple Watch Ultra. The watch comes with advanced features including, a 49mm titanium case, flat sapphire front crystal, and the brightest Apple watch display. The watch is designed for extreme environments.
Sep-2022: Apple launched Apple Watch Series 8 and the new Apple Watch SE. These products offer advanced features including, crash detection, women’s health wellness, etc., and enable users to stay coupled with their beloved, lead a healthy life, etc.
Jun-2022: Fossil launched Gen 6 Hybrid smart watch. The hybrid smart watch combines the traditional design and features of smart watches including, the Spo2 sensor, Alexa support, etc.
Feb-2022: Movado Group along with Calvin Klein, launched the Spring-Summer 2022 collection of jewelry and watches. Calvin Klein, part of PVH Corp., a US-based company, is primarily into watches, perfumes, jewelry, etc. This collaboration would strengthen Movado’s business by leveraging Calvin’s online presence and global reach.
Nov-2019: LVMH acquired Tiffany & Co., a US-based company, primarily into luxury jewelry, sterling silver, accessories, leather goods, etc. This acquisition would update LVMH’s watches and jewelry division and strengthens its market position in the United States.
Oct-2018: Ralph Lauren launched the Polo Bear watch displaying its popular mascot. The watch collection includes a variety of designs and is launched to celebrate the brand’s 50th anniversary.
Oct-2018: Movado Group acquired MVMT watches, a US-based company, primarily into premium watches and fashion accessories. This acquisition expands Movado’s reach, particularly amongst millennials, and reinforces its growth rate by leveraging MVMT’s strengths.
Oct-2018: Fossil group partnered with CITIZEN, a Japan-based electronics company, engaged in manufacturing and marketing watches, calculators, automotive components, etc. The partnership involves cashing on Citizen’s competence in watch movement and providing Citizen with Fossil’s hybrid smart watch technical knowledge. This partnership expands Fossil’s market position in hybrid smart watches.
Jul-2018: Fossil Group partnered with Bayerische Motoren Werke Aktiengesellschaft (BMW), a German-based automobile manufacturing company, primarily into luxury vehicles, and motorcycles. The partnership includes designing BMW branded watches and accessories and marketing across the globe in Fossil and BMW retail stores.
Scope of the Study
Market Segments covered in the Report:
By Product
• Electronic
• Mechanical
By Distribution Channel
• Offline
• Online
By Geography
• North America
o US
o Canada
o Mexico
o Rest of North America
• Europe
o Germany
o UK
o France
o Russia
o Spain
o Italy
o Rest of Europe
• Asia Pacific
o China
o Japan
o India
o South Korea
o Singapore
o Malaysia
o Rest of Asia Pacific
• LAMEA
o Brazil
o Argentina
o UAE
o Saudi Arabia
o South Africa
o Nigeria
o Rest of LAMEA
Companies Profiled
• Apple, Inc.
• Fossil Group, Inc.
• LVMH SE
• Ralph Lauren Corporation
• Rolex SA
• Citizen Watch Co., Ltd.
• Seiko Watch Corporation
• Compagnie Financiere Richemont SA
• Movado Group, Inc.
• The Swatch Group Ltd.
Unique Offerings
• Exhaustive coverage
• Highest number of market tables and figures
• Subscription based model available
• Guaranteed best price
• Assured post sales research support with 10% customization free
Read the full report: https://www.reportlinker.com/p06374149/?utm_source=GNW
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